© BP 2006

Exploring for future gas in Azerbaijan: Global technology and local cooperation

Greg Riley

BP Azerbaijan, Georgia & Turkey

Oil and Gas Conference June 5th, Baku, Azerbaijan

Azerbaijan Historical Oil and Gas Production

Azerbaijan Oil and Gas business

• Azerbaijan has built a >1million barrel equivalent/day oil and gas

industry

• Upstream, midstream and downstream assets and supporting

infrastructure

To maintain industry near this scale

• Continued investment in improving recoveries of existing fields

• Large-scale oil and gas exploration required to maintain supply

Oil a

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Onshore Offshore

billi

on

s o

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arr

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oil e

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len

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Oil

Gas

Total

Azerbaijan Historical Oil and Gas Discoveries

Onshore Nearshore Offshore

150 year history of Oil and Gas exploration

• > 30 billion barrels discovered to date

• Onshore to offshore deeper waters

• Latest discoveries deeper higher

pressure gas

ACG OBC PSDM Shah Deniz OBS FWI

04/06/2014

Pre-

Fasilia

Pre-

Fasilia

Shah Deniz

PreFasila

Shafag Asiman

Fasila and PreFasila

BAKU

Future Gas Sources Exploring Deeper Reservoirs

A history of seismic advances in Azerbaijan

2000 2001 1995 2006 2007 2004 2005 2011 1996 1997 1998 1999 2002 2003 2010 2008 2009

ACG

3D TS SD 3D TS

ACG 4D

OBC Trial

Anisotropic Depth

Processing

FWF Inversion

Processing

1. Exploration/Appraisal 2D and 3D Surveys

Regional 2D and PSA specific 3D towed streamer acquisition (time domain processing)

2. Testing new ideas for Appraisal and Development

Depth domain processing tests/application to existing 3D seismic

Key tests on Ocean Bottom Cable acquisition and 4D seismic.

3. Deploying New Technology and return of Gilivar

The ACG ‘CARSP’ project deploys OBC for new 3D/4D images

Shah Deniz acquires full field OBC

ACG and SD apply advanced anisotropic depth migration to improve image of steep flanks

Full Waveform Inversion is used to improve crestal velocities

Return of the Gilivar – 3D data processed in Baku to PSDM.

2D ACG Full Field OBC – 4D

SD OBC

2012

Shafag Asiman 3D

Depth Image

Reprocessing

2013 2014

Advances in Seismic Technology Exploration – The return of the Gilavar TS 3D

Air guns

6x6km

Cables 560 m 250m

100m

Shafag-Asiman

Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 Q1 Q2

ESIA

ACQ

PSTM

PSDM

2013 2011 2012

Mob

Time

Processing

• Acquired in 1996-98

• Poor S-N ratio

• Dipping noise

Shafag-Asiman: 2D seismic data Original Processing

• Reprocessed by

SOCAR with PSTM

workflow

• Improved resolution

at deep levels

• Reduced noise

• Some artefacts at

depth remain

Shafag-Asiman 2D seismic data Seismic Reprocessing 2008

• Acquired and

processed by

Caspian

Geophysical JV

• Improved resolution

at deep levels

• Reduced noise

• Some artefacts at

depth remain

Shafag-Asiman 3D seismic data Prestack Time Migration (PSTM)

• Acquired and

processed by

Caspian

Geophysical JV

• Improved resolution

at deep levels

• Reduced noise

• Improved image at

crestal area

Better structural definition and event

continuity (4 tomographic iterations )

Shafag-Asiman 3D seismic data Prestack Depth Migration (PSDM)

Shafag-Asiman: 2D seismic data Original Processing

• Acquired in 1996-98

• Poor S-N ratio

• Dipping noise

Iteration 1 Iteration 2

Iteration 4 Iteration 3

Value of 3D seismic data: Tomographic Processing and Pore Pressure prediction from velocity

well

BP, 2012

ACG

Paleogeographic Interpretation from:

• Regional well database

• Extensive 2D seismic coverage

• 3D data/detailed interpretation

• Outcrops

Improved seismic adds resolution to reservoir

Advanced processing flow at Shafag-Asiman:

− Tomographic velocity analysis for PSDM velocity model

− Advanced noise attenuation techniques (e.g. 3D SRME)

Local focus

− Strategic drive to process data locally

− Majority of 2010-2012 processing done at Caspian

Geophysical (CG) and SOCAR

− Developing local expertise

− Many processing steps done in Azerbaijan for the first

time (e.g. tomographic velocity model building, 3D SRME,

high-end 4D TS processing at East Azeri field). CG

personnel have been trained accordingly to meet the

requirements

− Building capability

− CG increased hardware capacity - CPUs increased about

3.7 times (616 vs. 168) and disk space increased 2.4

times (165 Tb vs. 70 Tb).

Advances in Seismic Technology Developing local capability

Application of Basin Modelling Technology at Scale

Today Future

3D Basin Modelling

used in Caspian for

last decade to study:

• Migration History

• Fluid and Pore

Pressure

Predictions

• Seal Capacity

• Hydronamic flow

and tilted contact

models

• Basin Model calibration to seismic

data project to validate different

scenarios

20 K PSI The Next Frontier

Azerbaijan Historical Oil and Gas Production

Azerbaijan Oil and Gas business

• Azerbaijan has built a >1million barrel equivalent/day oil and gas

industry

• Upstream, midstream and downstream assets and supporting

infrastructure

To maintain industry near this scale

• Continued investment in improving recoveries of existing fields

• Large-scale oil and gas exploration required to maintain supply

Oil a

nd

Ga

s p

rod

uctio

n in

10

00

s o

f ba

rrels

oil e

qu

iva

len

t pe

r da

y

Onshore Offshore